Thursday, October 18, 2012

-----NZ government:Iwi groups yet to complete their Treaty settlements will be offered the opportunity to participate in the Government share offer programme, Finance Minister Bill English and Treaty Negotiations Minister Chris Finlayson say.“This is a result of our constructive engagement with Iwi leaders and their technical advisers,” the ministers say. “It is another example of how direct engagement with the Crown can produce pragmatic solutions that provide an opportunity for more New Zealanders to participate in the share floats and support Iwi and the Crown to settle historic Treaty claims.”
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No, this concept the government is peddling - effectively a "shares minus" scheme to the Waitangi Tribunal's mooted "shares plus" idea - is a cynical attempt to divide Maori opposition to asset sales by tempting some of the most vulnerable and impoverished Iwi into accepting a paltry amount of shares in lieu (in advance) of a settlement. Because the offer is open to any unsettled Iwi that means giving Iwi with no hydro dams in their rohe a chance to grab a slice of someone elses - an obviously unfair and antagonistic scenario. The self-selected "Iwi Leaders" group being courted by the government is classic divide-and-rule in play. This is typical of NZ government policy going back to the 19th century and the imbalance of power and patronising mindset of the government underscores the colonial environment in which the nation still exists.

The detail of the scheme piles insult upon insult, especially when Iwi are classified as non-New Zealanders and accorded second class rights to ordinary New Zealanders buying shares. That one fact alone shines a light on the prejudiced mentaility of the Pakeha who dreamt this up:
-----“The Government has already announced that individual New Zealanders seeking up to $2000 worth of shares will be guaranteed that amount, and that they will get a loyalty bonus if they hold on to those shares for a period likely to be about three years,” Mr English says.If yet-to-settle Iwi meet criteria for eligibility, they will be able to buy ordinary shares at the IPO price, on the understanding that the purchase forms part of their overall settlement package.They will not be eligible for loyalty bonuses, as these will apply only to individual New Zealanders.
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Bill English is either saying Iwi aren't capable of loyalty, or Iwi are undeserving of the benefits of loyalty. One would have thought that Maori putting up with the last 150 years of government-imposed Nazism towards them without resorting to the normal methods used in other colonial contries to achieve self-determination and national liberation ought to accrue some sort of consideration from the regime. It's beyond an insult, it is an offensive discrimination. It is poisonous.

The overall amount that may be taken up in this one-sided (non-)bargain is not even expected to reach beyond 5% of the shares in the power company.

-----“It does not change the total amount of Treaty settlements. It simply allows Iwi more flexibility about how their settlement money is invested, and we believe it will enhance the share offer programme,” Mr Finlayson says.Around 65 Iwi may be eligible to participate in on-account share purchases. They would, like all other investors, be encouraged to first seek independent financial advice, the ministers say.Each Iwi would be limited to 5 per cent, 10 per cent or 12.5 per cent of their likely total settlement, depending on their situation.

A 5 per cent maximum of their likely settlement would be available for Iwi not “local” to any of the power companies’ assets – for example, if there was no dam or other operating asset within the Iwi’s area.

A 10 per cent limit would apply to Iwi who are “local” to any of the companies.

A 12.5 per cent limit would apply to Iwi who are “local” to any of the companies, had reached an Agreement in Principle with the Crown, and had already agreed a quantum amount for settlement.

Mr English says the actual amount to be advanced as on-account payments for shares will depend on the level of take-up by Iwi. The Treasury estimates that if all Iwi take up their full entitlement, this will amount to $145 million over the entire Government share offer programme.
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There are so many problems with this half-baked proposal. So many.

The limitations set are arbitrary and Iwi are being marginalised rather than included because of this and the outrageous discrimination over the loyalty bonus. And that is just the start.

Many of the Iwi yet to settle have no mandated or properly established vehicle in which to partake of shares (or any other investment) and any rush to create them now the government has incentivised it will incur many difficulties including court action. Many Iwi groups simply have not got the necessary internal resources, staff and legal entities to take the offer and the risk is a hastily constructed platform erected to partake will collapse soon after. OTS will now stick their beaks in because of this.

Another major issue is the quantum. To allocate shares based on what the Crown intends to settle for is not only extremely prejudicial to all the negotiations that have yet to take place (and that process invloves dozens of groups and may still take a decade or more) it will ultimately disclose what the final aggregate quantum is for all settlements - then the government's positions about an open mind and good faith and the other platitudes and promises of the Crown will be exposed for the lies they are. This scheme may prove a back door to re-impose the discredited "fiscal envelope" and as such it will precipitate a crisis.

The core issue is whose water is it - not how little will it take to shut the Maoris up. In trying to avert one problem for itself the Crown looks set on the creation of several others.

.These derogatory terms presented by the “government” probably factor in a big dose of vengeance against Maori because of their considerable stand in stalling the advance of the SOE asset sales scam.

Now the “government” will pay attention only to those Maori 1%er quislings prepared to accept this insult in the name of “their” people, this regurgitates memories of the 1860’s. Welcome to the “democracy” of NZ Inc.